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INACTIVE FUNDS AND/OR ACCOUNTS
Active vs. Inactive Funds and Accounts
You may wish to deactivate funds and/or accounts you no longer
use. For example, you may have setup a two-year grant fund.
Once the two years are completed, you don't want the fund
to show up on all your reports, but you want to keep the history
in the system.
You will generally make a fund or account inactive at the
beginning of a fiscal year. If you find during the year that
you shouldn't have deactivated a fund or account, you can
reactivate it. However, once you have reactivated an inactive
fund or account, you can't deactivate it again during that
fiscal year.
To Deactivate a Fund
Two conditions must be met in order for you to be able to
deactivate a fund:
-no transactions have been made in the fund in the current
fiscal year and
-the fund has no balance
1. Select Management from the Main Menu.
2. Select Create and Edit
Funds, and press Open. This window opens
3. To find the fund you want to deactivate, press CTRL-F,
click on the fund, and press OK.
4. Click Deactivate Fund. This action will deactivate the
fund and all the accounts associated with the fund. However,
if you print reports for a fiscal year where the fund had
history, information for that fund will be included.
To Deactivate Account Numbers
If you still use a fund, but not all of its account numbers,
you can deactivate the accounts you no longer use. Two conditions
must be met in order for you to be able to deactivate an account:
-no transactions have been made in the account in the current
fiscal year and
-the account has no balance
1. Select Management from the Main Menu.
2. Select Create and Edit Accounts, and press Open. This window
opens.
3. To find the account you want to deactivate, press CTRL
-F, click on the account, and press OK.
4. Click the Inactive radio button. This action will deactivate
the account. You will no longer be able to make entries to
this account. Current reports won't include it, but account
history will be included on the appropriate reports.
Clearing Out Balances on Balance Sheet Accounts
During Close Fiscal Year, you will be cautioned if a fund
or balance sheet account has been marked as inactive in the
new fiscal year, but still has a balance in the year you are
closing. Balance sheet account balances are forwarded to the
new fiscal year, and these entries must be zeroed out of the
balance sheet account, or the fund will no longer be active
in the new fiscal year.
Print a Trial Balance for the last month of the fiscal year
you are closing to find which accounts have balances:
All accounts with an ending balance must have their balances
set to zero. Some states or auditors have specific instructions
for "closing out" balances. Other states do not
require the use of balance sheet accounts, so no hard and
fast rules exist.
In the example above, this fund has an ending cash balance
of $10,818.04. This balance would need to be transferred to
another fund prior to making the fund inactive. If this is
not done, you will not balance with the Cash summary and bank
statement.
The Revenue Budget Account and Revenue Equity Account would
need to be closed out to another account - possibly the Fund
Equity or Suspense Accounts.
The entries to close accounts are made in General Journal
entry. You should use the last day of the LAST fiscal year
that will have activity for the fund or account. For example,
if you plan on making the above Fund 03 inactive in FY05,
you would want to make the general journal entries in FY04
- June 30, 2004.
If you are unsure of what entries to make, please contact
DataTeam support for guidance.
Inactive Expense and Revenue Accounts
The software will check for inactive expense or revenue accounts
when the journal is posted. If you receive a message that
the account is inactive and you cannot post the journal, you
have two choices:
-Change the account back to an Active account
-Change the entry to use a different account
For example, the payroll person pays a person from an account
that is inactive. Before the expenditure journal is posted,
you can:
1. Choose Expenditure Journal Entry from the General Ledger
menu.
2. Choose Find, and arrow to the entry that needs to be changed,
and return or click on OK.
3. Browse on the account number column, and choose a different
account number.
4. Exit the screen and continue with the posting process.
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